The latest findings from Northwestern Mutual’s 2022 Planning & Progress Study reveal that U.S. adults aged 18+ anticipate they will need $1.25 million to retire comfortably, a 20 percent rise since 2021.
At the same time, Americans’ average retirement savings has dropped 11 percent – from $98,800 last year to $86,869 now – while their expected retirement age has risen – now 64, which is up from 62.6 last year.
Northwestern Mutual, the marketing name for The Northwestern Mutual Life Insurance Company, Milwaukee, WI, obtained the results through an online survey conducted through The Harris Poll.
The study finds low levels of confidence among Americans about their retirement preparedness, and they don’t have great faith in Social Security as a backstop. More than four in ten (43 percent) people say they do not expect to be financially ready for retirement when the time comes. And 45 percent say they can imagine a time when Social Security no longer exists. Read the full report.